SHELL PIPELINE COMPANY LP

Transcription

1 SHELL PIPELINE COMPANY LP F.E.R.C. No. S Cancels F.E.R.C. No. S LOCAL TARIFF APPLYING ON THE TRANSPORTATION OF PETROLEUM PRODUCTS BY PIPELINE SUBJECT TO THE DEFINED HEREIN. (Rates in dollars per Barrel of 42 United States Gallons each, payable in United States Currency) ROUTE NO. ORIGIN DESTINATION ANNUAL VOLUME (IN BARRELS) THROUGH RATE 01 Marysville Underground Storage Terminal, Marysville, Michigan International Boundary near Marysville, Michigan 0-300,000 [I] $2.70 Over 300,000 [U] $0.01 TERMS: The term "Annual Volume" is defined as twelve (12) consecutive months beginning with the first day of the first month in which an initial delivery is made by the Carrier to the tariff destination and the ending with the last day of the twelfth (12th) month in the consecutive twelve (12) month period. Filed in compliance with 18 CFR (Indexing). The provisions published herein will, if effective, not result in an effect on the quality of the human environment. ISSUED: MAY 28, 2015 EFFECTIVE: JULY 1, 2015 Issued By: GREG SMITH, President SHELL PIPELINE COMPANY LP P. O. Box New Orleans, LA Complied By: [W] Dennis E. Ramsey, Director [W] Oil Movements and Tariffs Melissa Mitchell, Manager Tariff, Land and Permitting P. O. Box 2648 Houston, TX [W] (713) (713)

2 Page 2 of 6, SPLC FERC No. S This Carrier will receive Petroleum Products for trunk line interstate transportation through its own lines only when destined for further transportation via other pipelines, subject to the following conditions: Item No. SUBJECT 1 Definitions As used in this tariff, the following terms have the following meanings: "Barrel" as herein used means forty-two (42) gallons, United States measurement, at 60º Fahrenheit. Butane means and is limited to the liquid hydrocarbon product composed predominately of butane, of one or the other or both isomers. Carrier as herein used means Shell Pipeline Company LP. "Consignee as herein used means the party to whom a Shipper has ordered the delivery of Petroleum Products. Delivery Point means the eastern terminus of the pipeline at the International Border between Inc. the United States and Canada, where it interconnects with the pipeline owned by SCL Pipeline, Inc. Nomination means an offer by a Shipper to Carrier to Tender a stated quantity of Petroleum Products for transportation from the Receiving Point to the Delivery Point in accordance with the terms of this Tariff. "Petroleum Products" as used herein means, and is limited to, Butane Receiving Point means the western terminus of the pipeline at the Marysville Underground Storage Terminal in Marysville, Michigan. Shipper as herein used means the party who contracts with Carrier for transportation of Petroleum Products, as defined herein and under the terms of these rules. Tender as herein used means a nomination by a Shipper to the Carrier of a stated quantity and grade of Petroleum Products for transportation from a specified origin or origins to a specified destination or destinations in accordance with these rules. 2 Commodity This tariff covers the transportation of Petroleum Products by the Carrier. No commodity other than Petroleum Products will be transported under this Tariff. 3 Origin and (a) Carrier will accept Petroleum Products for transportation: Destination (i) at the Receiving Point Facilities (ii) when the Petroleum Products has been specified to be delivered to the Delivery Point (iii) when the party taking delivery of the Petroleum Products at the Delivery Point has been specified in writing to the Carrier (b) The Carrier will provide no storage facilities at origin and destination stations. Petroleum Products will be accepted for transportation only when Shipper has provided equipment and facilities satisfactory to Carrier for delivery of such shipments. (c) Carrier shall not be responsible for Petroleum Products that cannot be delivered as specified by Shipper due to any event of force majeure. 4 Tenders (a) Petroleum Products will be transported only under a Tender accepted by the Carrier from facilities and connected to Carrier's pipeline when a tariff covering the movement is lawfully in effect. Quantities (b) Shippers desiring to Tender Petroleum Products for transportation shall provide its Nomination to Carrier in writing on or before the 15th day of the month preceding the month in which transportation under the Nomination will begin, except that, if space is available for current movement, a Shipper may provide its Nomination at a later date. (c) A Nomination will be accepted only when the total quantity covered thereby will be Tendered for transportation within said calendar month at a delivery rate and in quantities, and at the times specified in these Rules and Regulations.

3 Item No. SUBJECT Page 3 of 6, SPLC FERC No. S Continued 4 Tenders (d) Tenders for the transportation of Petroleum Products for which Carrier has facilities will be accepted into and Carrier s system in quantities of not less than ten thousand (10,000) Barrels aggregate from one or more Quantities Shippers as operations permit and provided such Petroleum Products are of similar quality and (Continued) characteristics as are being transported from receipt point to destination point; except that Carrier reserves the right to accept any quantity of Petroleum Products from any other facility to which Carrier s facilities are connected if such quantity can be consolidated with other Petroleum Products such that Carrier can make a single delivery of not less than ten thousand (10,000) Barrels. The term single delivery as used herein means a delivery of Petroleum Products in one continuous operation to one or more Consignees into a single facility, furnished by such Consignee or Consignees, to which Carrier is connected. Carrier may, at its discretion and if operating conditions permit, accept for transportation Petroleum Products in quantities of less than the minimum batch size. If a lesser quantity is accepted, it may be delayed at the Carrier's election until the minimum for a batch is available. 5 Specifications (a) Petroleum Products will be accepted for transportation at such time as Petroleum Products of the same as to Quality quality and specifications are currently being transported from Receiving Point to destination. No shipment hereunder will be accepted by the Carrier for transportation unless the same consists of good, merchantable Petroleum Products that are free from water and other foreign substances. All additives and inhibitors to be included in Shippers' Petroleum Products must first be approved by the Carrier before such Petroleum Products will be accepted for transportation. (b) Petroleum Products will not be received for transportation that are not in a liquid state. The Carrier will specify the delivery pressure, but it will not exceed a maximum of 9900 kpa (1440 psia). The temperature shall not exceed a maximum of 27 C (80 F). (c) At Carrier's request, Shipper shall furnish Carrier with a certificate showing the detailed specifications of the Petroleum Products delivered to Carrier for transportation. (d) Shipper shall, if requested by Carrier, provide and inject corrosion inhibitor compound into Petroleum Products to be transported. Corrosion inhibitors shall not be injected by Shipper into Petroleum Products prior to transportation without the express consent of Carrier. If corrosion inhibitor is to be injected by Shipper before the Petroleum Products are accepted for transportation, the inhibitors shall be of the types and in such amounts as specified by Carrier, consistent with generally accepted standards and practices in the industry. (e) Carrier reserves the right to require, approve or reject the injection of corrosion inhibitors, viscosity or pour point depressants or other such additives in Petroleum Products to be transported. (f) If, upon investigation, Carrier determines that a Shipper has delivered to Carrier s facilities Petroleum Products that have been contaminated by impure substances, such Shipper will be excluded from further entry into applicable segments of the pipeline system until such time as quality specifications are met to the satisfaction of Carrier. Further, Carrier reserves the right to dispose of any contaminated Petroleum Products blocking its pipeline system. Disposal thereof, if necessary, may be made in any reasonable commercial manner, and any liability associated with the contamination or disposal of any such Petroleum Products shall be borne by the Shipper introducing the contaminated Petroleum Products into Carrier's system. (g) Carrier may require the Shipper to furnish certified laboratory reports showing the results of tests on the Petroleum Products offered for transportation. Carrier may also make such tests of the Petroleum Products as it deems desirable. 6 Shipments, Petroleum Products will be accepted for transportation on the condition that the Carrier will use due Maintenance diligence to transport same to destination with a minimum of contamination. It being impracticable for of Identity Carrier to maintain identity of each entire shipment, Carrier reserves the right to substitute a like volume of the same kind and quality as the commodity shipped.

4 Item No. SUBJECT Page 4 of 6, SPLC FERC No. S Continued 7 Export of Where Petroleum Products are destined for export, it shall be the responsibility of Shipper to obtain the Product required permits or licenses from the appropriate agencies prior to acceptance of the Petroleum Products by Carrier. Shipper shall be required to produce evidence of such permits or licenses upon request. If duties or other charges arise there from, it shall be the responsibility of Shipper to pay and clear same prior to delivery to Carrier. 8 Application For Petroleum Products accepted for transportation from any point on Carrier s lines not named in the of Rates tariff which is intermediate to a point from which rates are published in the tariff, through such unnamed point, the rate published from the next more distant point specified in the tariff will apply. Petroleum Products accepted for transportation to any point not named in the tariff which is intermediate to a point to which rates are published in the tariff, through such unnamed point, the rate published to the next more distant point specified in the tariff will apply. 9 Payment of Shipper shall be responsible for payment of transportation and all other charges applicable to the shipment, Transportation and at the discretion of Carrier, may be required to prepay such charges or furnish guaranty of payment and Other satisfactory to Carrier. Payments not received by Carrier in accordance with invoice terms shall be Charges subject to a late charge equivalent to 125% of the prime rate as quoted by a major New York bank. Carrier shall have a lien on all Petroleum Products accepted for transportation to cover payment of all charges, including demurrage and late charges and may refuse to make delivery of the Petroleum Products until all charges have been paid. If said charges, or any part thereof, shall remain unpaid for five days after notice of readiness to deliver, the Carrier may sell the Petroleum Products at public auction. Carrier shall have a lien on Petroleum Products when there shall be failure to take the Petroleum Products at the point of destination as provided in Item No. 17 (Demurrage). Carrier shall have the right to sell said Petroleum Products at public auction, for cash. The auction will be held between the hours of ten o'clock a.m. and four o'clock p.m. on any day not a weekend or legal holiday, and not less than twenty-four hours after the Shipper has been officially notified of the time and place of such sale and the quantity, general description, and location of the Petroleum Products to be sold. Carrier may be a bidder and purchaser at such sale. Out of the proceeds of said sale, Carrier shall pay itself for all transportation, demurrage, and other lawful charges, expenses of notice, advertisement, sale and other necessary expenses, and expenses of caring for and maintaining the Petroleum Products, and the balance shall be held for whomsoever may be lawfully entitled thereto after the auction. If the proceeds of said sale do not cover all expenses incurred by Carrier, the Shipper and/or Consignee are liable to Carrier for any deficiency. 10 Measuring Petroleum Products Tendered for transportation shall be measured at the Receipt Point and/or the Delivery Point, and tested by a representative of Carrier. The method of measurement shall be in accordance with accepted industry standards for the measurement of Butane. Shipper may be present or represented at such measuring and testing. A representative of Carrier shall have the right to enter upon the premises where such Petroleum Products are received or delivered, and have access to any and all storage receptacles or meters for the purpose of measuring and testing and to make any examination, inspection, measurement or test required. 11 Apportionment When there shall be Tendered to Carrier, for transportation, more Petroleum Products than can be When Tenders immediately transported on a line segment, the transportation furnished by Carrier shall be apportioned are in Excess of among Shippers on an equitable basis. Line segments will be prorated separately if necessary. Space Facilities in each segment will be allocated among Regular Shippers and any New Shippers as follows: 1. The capacity of the line segment being prorated shall be divided by the total of all volumes nominated by Regular Shippers and New Shippers. The resultant fraction will be the proration factor. 2. Each New Shipper shall be allocated space equal to its nominated volumes multiplied by the proration factor. 3. The remaining capacity shall be allocated among Regular Shippers in proportion to their base period shipments. The base period is a period of 12 months beginning 13 months prior to the month of allocation and excluding the month preceding the month of allocation. A Regular Shipper is any Shipper having a record of movements, in the line segment being prorated, during the base period. A New Shipper is a Shipper who does not qualify as a Regular Shipper under the above definition. New Shippers shall be allocated a total of ten percent (10%) of the available pipeline capacity. If more than one New Shipper has nominated volumes, pipeline space shall be allocated proportionately to each New Shipper in relation to the total nominations by New Shippers, so that the total pipeline capacity allocated for all New Shippers shall not exceed ten percent (10%) of the available pipeline capacity.

5 Page 5 of 6, SPLC FERC No. S Continued Item No. SUBJECT 12 Liability of The Carrier while in possession of any of the Petroleum Products herein described shall not be liable for Carrier any loss thereof, damage thereto, or delay, except to the extent that liability therefore is imposed on the Carrier by law. In case of loss of Petroleum Products for which Carrier is not responsible, the Shipper shall bear the loss. In such case, the Shipper shall stand the loss in the same proportion as the amount of its shipment bears to the whole amount of the consignment of which it was a part, and shall be entitled to receive only such portion of its shipment as is left after deducting its due proportion of the loss. 13 Indemnification The Shipper shall indemnify the Carrier for any loss, damage, loss, costs or consequential loss incurred by the Shipper by the Carrier or by any other party as a result of such Shipper's failure to comply with any provision of this tariff. 14 Title The Carrier shall have the right to reject any Petroleum Products, when Tendered for transportation, which may be involved in litigation, or the title of which may be in dispute, or which may be encumbered by a lien or charge of any kind, and it may require of the Shipper satisfactory evidence of its clear and unencumbered title or satisfactory indemnity bond to protect the Carrier. By Tendering Petroleum Products, the Shipper warrants and guarantees that it has good title thereto and agrees to hold Carrier harmless for any and all loss, cost, liability, damage and/or expense resulting from failure of title thereto; provided, that acceptance for transportation shall not be deemed a representation by Carrier as to title. 15 Time Limitation As a condition precedent to recovery for loss, damage, or delay to shipments, claims must be filed in writing on Claims with the Carrier within one (1) month after delivery of the Petroleum Products, or, in case of failure to make delivery, then within one (1) month after a reasonable time for delivery has elapsed; and suits arising out of such claims shall be instituted against the Carrier only within six (6) months from the time when the Carrier delivers, or arranges for delivery of, the Petroleum Products or, in case of failure to make or arrange for delivery, then within six (6) months after a reasonable time for delivery has elapsed. Any such loss or damage shall be determined solely on the basis of volumetric loss and not on the monetary value of the Petroleum Products. Where claims are not filed or suits are not instituted thereon in accordance with the foregoing provisions, Carrier will not be liable and such claims will not be paid. 16 Line Fill Prior to delivering Barrels out of Carrier s pipeline system, each Shipper will be required to supply a pro rata share of Petroleum Products necessary for pipeline and tankage fill to ensure efficient operation of Carrier s pipeline system. Petroleum Products provided by Shippers for this purpose may be withdrawn only after: (1) shipments have ceased and the Shipper has notified Carrier in writing of its intention to discontinue shipments in Carrier s system, and (2) Shipper balances have been reconciled between Shipper and Carrier. Carrier, at its discretion, may require advance payment of transportation charges on the volumes to be cleared from Carrier s system, and any unpaid accounts receivable, before final delivery will be made. Carrier shall have a reasonable period of time from the receipt of said notice to complete administrative and operational requirements incidental to Shipper withdrawal. Shipper will be responsible for all costs to purge the line, if necessary, to deliver its inventory. 17 Demurrage In order to provide space for delivery of succeeding shipments into Carrier's facilities, Carrier may give notice to Shipper to remove product from Carrier's facilities. Petroleum Products to be specified in the notice shall be determined on a first-in, first-out basis. Petroleum Products which are not removed at the close of a twenty-four (24) hour period, beginning the day after such notice is sent by Carrier, shall be subject to a demurrage charge of fifteen cents (15 ) per barrel plus one cent (1 ) per barrel per day until removed, provided however that after three days Carrier shall have the right to dispose of such product without further notice in such manner as Carrier at its sole discretion, deems necessary. Demurrage charges shall be payable upon presentation of bill by Carrier. 18 Gauging, Twenty-four (24) hours prior to acceptance of Petroleum Products for transportation, Carrier may test such Testing Petroleum Products and may require from Shipper a certificate setting forth in detail the specifications of and Volume each shipment of Petroleum Products which must indicate all additives and inhibitors included. Corrections Petroleum Products shipped hereunder shall be measured and tested by representatives of the Carrier or by automatic equipment approved by the Carrier. Quantities shall be determined by dynamic or static measurement methods in accordance with appropriate American Petroleum Institute (API) standards, latest revision, and adjusted to base (reference or standard) conditions.

6 Page 6 of 6, SPLC FERC No. S Continued Item No. SUBJECT 18 Gauging, The base conditions for the measurement of liquids having a vapor pressure equal to or less than atmospheric Testing pressure at base temperature are as follows: and Volume Corrections Pressure psia ( kpa) (Continued) Temperature F (15.56 C) For liquids, such as liquid hydrocarbons, having a vapor pressure greater than atmospheric pressure at base temperature, the base pressure shall be the equilibrium vapor pressure at base temperature. Quantities transported will be adjusted to allow for inherent losses, including but not limited to shrinkage, evaporation, interface losses and other losses. Pipeline loss adjustments will be made on the basis of total quantities transported and allocated to each Shipper based on delivery volume. 19 Charge for In addition to all other charges accruing on Petroleum Products accepted for transportation through Carrier s Compensation facilities, a per Barrel charge will be assessed and collected in the amount of any tax, fee, or other charge Fund Fees levied against Carrier by any Federal, State or local agency for the purpose of creating a fund for the Incurred by reimbursement of parties who sustain costs or losses resulting from oil pipeline industry operations. Company 20 Diversion Subject to Item 4 (Tenders and Quantities), change in destination or routing may be permitted without additional charge, on written request from the Shipper, for any requested destination or routing, and provided that no back-haul is required. 21 Pipeage or Separate pipeage and other contracts may be required of a Shipper, in accordance with this tariff and these Other rules, before any duty of transportation by the Carrier shall arise. Contracts EXPLANATION OF REFERENCE MARKS: [I] Increase [U] Unchanged Rate [W] Change in wording only